Add to My AOL

Add to Google Reader or Homepage

Subscribe in Bloglines

Bookmark and Share


« A Smart Social Security Strategy | Main | What Is a 'Non-Spouse' Beneficiary? »

04/18/2012

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

Thanks for the informative articles. Our numbers aren't as impressive as are George and Martha's but here, a year or so out from retirement I've been working toward "Plan B" - with the exception that we do need my spouses smaller SS right off, at our target date of 63. At 66 I'll file on her's and receive it till 70 when I'll move to my much larger amount.

Does this approach add up?

Regarding, "In case you're wondering how long George and Martha would have to live before Plan A nets them more than Plan B, I don't have the answer." Would that be $60,000 / $7,680 = 7.8125 years?

Lynn replies:

Yes, that simple division was my first thought. But I had a nagging feeling that it might be more complicated than that.

I began thinking of the time value of money, discounted present values, inflation boosts that are perhaps greater in some years than others, and I concluded ... better let someone else figure it out!

I do not agree that either the original or Mr. Pickers is necessarily the smartest plan. First let us recall that you are actually calculating what the couple will receive to the point the Husband is 72 and the wife 70
What if they each forget the spousal and simply take their own FRA at 66
By the time W is 70 and H 72...
H would then receive 6 years @$2500/month =$180,000
W would then receive 4 years@ 2000/month = $ 96,000
Total received at the age both other examples use =$276,000

Of course the final monthly is lower and sometime after they are 80 their gross would become lower but they would probably obtain more enjoyment in their 60’s and 70’s than getting more in their 80’s

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Working...
Your comment could not be posted. Error type:
Your comment has been saved. Comments are moderated and will not appear until approved by the author. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.

Working...

Post a comment

Comments are moderated, and will not appear until the author has approved them.

Your Information

(Name and email address are required. Email address will not be displayed with the comment.)